ELDORADO GOLD CORP (ELD.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:ELD - CA2849021035 - Common Stock
65.52 CAD
-0.6 (-0.91%)
Overall ELD gets a fundamental rating of 6 out of 10. We evaluated ELD against 820 industry peers in the Metals & Mining industry. ELD has an excellent profitability rating, but there are some minor concerns on its financial health. ELD is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
- In the past year ELD was profitable.
- ELD had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: ELD reported negative net income in multiple years.
- In the past 5 years ELD always reported a positive cash flow from operatings.
1.2 Ratios
- ELD has a Return On Assets of 5.73%. This is amongst the best in the industry. ELD outperforms 90.24% of its industry peers.
- ELD's Return On Equity of 9.06% is amongst the best of the industry. ELD outperforms 90.24% of its industry peers.
- ELD's Return On Invested Capital of 7.47% is amongst the best of the industry. ELD outperforms 92.44% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ELD is significantly below the industry average of 12.04%.
- The last Return On Invested Capital (7.47%) for ELD is above the 3 year average (2.90%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.73% | ||
| ROE | 9.06% | ||
| ROIC | 7.47% |
ROA(3y)-0.29%
ROA(5y)-0.3%
ROE(3y)-0.22%
ROE(5y)-0.31%
ROIC(3y)2.9%
ROIC(5y)3.1%
1.3 Margins
- The Profit Margin of ELD (22.14%) is better than 94.51% of its industry peers.
- In the last couple of years the Profit Margin of ELD has grown nicely.
- With an excellent Operating Margin value of 39.44%, ELD belongs to the best of the industry, outperforming 96.46% of the companies in the same industry.
- ELD's Operating Margin has improved in the last couple of years.
- ELD has a better Gross Margin (45.80%) than 94.15% of its industry peers.
- In the last couple of years the Gross Margin of ELD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.44% | ||
| PM (TTM) | 22.14% | ||
| GM | 45.8% |
OM growth 3Y12.58%
OM growth 5Y28.7%
PM growth 3YN/A
PM growth 5Y10.88%
GM growth 3Y7.51%
GM growth 5Y12.76%
2. Health
2.1 Basic Checks
- ELD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ELD has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for ELD has been increased compared to 5 years ago.
- ELD has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.83 indicates that ELD is not a great score, but indicates only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 2.83, ELD perfoms like the industry average, outperforming 47.07% of the companies in the same industry.
- A Debt/Equity ratio of 0.31 indicates that ELD is not too dependend on debt financing.
- ELD has a worse Debt to Equity ratio (0.31) than 68.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.83 |
ROIC/WACC0.78
WACC9.55%
2.3 Liquidity
- ELD has a Current Ratio of 2.79. This indicates that ELD is financially healthy and has no problem in meeting its short term obligations.
- ELD's Current ratio of 2.79 is fine compared to the rest of the industry. ELD outperforms 60.73% of its industry peers.
- A Quick Ratio of 2.28 indicates that ELD has no problem at all paying its short term obligations.
- ELD has a Quick ratio (2.28) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.79 | ||
| Quick Ratio | 2.28 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 37.82% over the past year.
- The Earnings Per Share has been growing by 89.34% on average over the past years. This is a very strong growth
- The Revenue has grown by 40.85% in the past year. This is a very strong growth!
- The Revenue has been growing by 16.44% on average over the past years. This is quite good.
EPS 1Y (TTM)37.82%
EPS 3Y31.64%
EPS 5Y89.34%
EPS Q2Q%17.14%
Revenue 1Y (TTM)40.85%
Revenue growth 3Y12.02%
Revenue growth 5Y16.44%
Sales Q2Q%31.04%
3.2 Future
- The Earnings Per Share is expected to grow by 26.49% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 13.20% on average over the next years. This is quite good.
EPS Next Y14.22%
EPS Next 2Y75.37%
EPS Next 3Y53.15%
EPS Next 5Y26.49%
Revenue Next Year31.55%
Revenue Next 2Y47.62%
Revenue Next 3Y34.87%
Revenue Next 5Y13.2%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 29.12 indicates a quite expensive valuation of ELD.
- Based on the Price/Earnings ratio, ELD is valued cheaply inside the industry as 91.59% of the companies are valued more expensively.
- ELD is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.87, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 10.64, the valuation of ELD can be described as reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ELD indicates a rather cheap valuation: ELD is cheaper than 93.78% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.96. ELD is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.12 | ||
| Fwd PE | 10.64 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ELD indicates a rather cheap valuation: ELD is cheaper than 95.24% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.84 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of ELD may justify a higher PE ratio.
- ELD's earnings are expected to grow with 53.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.05
PEG (5Y)0.33
EPS Next 2Y75.37%
EPS Next 3Y53.15%
5. Dividend
5.1 Amount
- ELD has a yearly dividend return of 0.48%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.56, ELD pays a better dividend. On top of this ELD pays more dividend than 95.98% of the companies listed in the same industry.
- With a Dividend Yield of 0.48, ELD pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.48% |
5.2 History
- ELD has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y75.37%
EPS Next 3Y53.15%
ELDORADO GOLD CORP / ELD.CA FAQ
Can you provide the ChartMill fundamental rating for ELDORADO GOLD CORP?
ChartMill assigns a fundamental rating of 6 / 10 to ELD.CA.
What is the valuation status for ELD stock?
ChartMill assigns a valuation rating of 6 / 10 to ELDORADO GOLD CORP (ELD.CA). This can be considered as Fairly Valued.
How profitable is ELDORADO GOLD CORP (ELD.CA) stock?
ELDORADO GOLD CORP (ELD.CA) has a profitability rating of 8 / 10.
Can you provide the financial health for ELD stock?
The financial health rating of ELDORADO GOLD CORP (ELD.CA) is 4 / 10.
Is the dividend of ELDORADO GOLD CORP sustainable?
The dividend rating of ELDORADO GOLD CORP (ELD.CA) is 3 / 10 and the dividend payout ratio is 0%.